DoD Awards $21.5M for Black Hawk Helicopter Software Integration to Sikorsky Aircraft

Contract Overview

Contract Amount: $21,527,262 ($21.5M)

Contractor: Sikorsky Aircraft Corporation

Awarding Agency: Department of Defense

Start Date: 2020-06-24

End Date: 2023-01-20

Contract Duration: 940 days

Daily Burn Rate: $22.9K/day

Competition Type: NOT COMPETED

Pricing Type: FIRM FIXED PRICE

Sector: Defense

Official Description: AN UCA IN SUPPORT OF THE IRNAV SOFTWARE TO BE INTEGRATED INTO THE BLACK HAWK HELICOPTER.

Place of Performance

Location: STRATFORD, FAIRFIELD County, CONNECTICUT, 06614

State: Connecticut Government Spending

Plain-Language Summary

Department of Defense obligated $21.5 million to SIKORSKY AIRCRAFT CORPORATION for work described as: AN UCA IN SUPPORT OF THE IRNAV SOFTWARE TO BE INTEGRATED INTO THE BLACK HAWK HELICOPTER. Key points: 1. Significant contract for critical aviation software integration. 2. Sole-source award raises questions about competition and pricing. 3. Potential for cost overruns due to lack of competitive pressure. 4. Sector: Defense - Aircraft Parts and Auxiliary Equipment Manufacturing.

Value Assessment

Rating: questionable

The contract value of $21.5M for software integration appears high, especially given it's a sole-source award. Without competitive bids, it's difficult to benchmark against similar contracts for value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded on a sole-source basis, indicating a lack of competition. This method limits price discovery and may lead to higher costs for the government.

Taxpayer Impact: The absence of competition likely results in taxpayers paying a premium for this software integration.

Public Impact

Enhances capabilities of the Black Hawk helicopter fleet. Supports ongoing modernization efforts within the Department of the Army. Potential impact on future software development contracts if sole-source becomes a trend.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Sole-source award
Lack of competition
Potential for inflated pricing

Positive Signals

Supports critical defense platform
Addresses specific software integration needs

Sector Analysis

This contract falls within the 'Other Aircraft Parts and Auxiliary Equipment Manufacturing' sector, a specialized area within defense manufacturing. Spending benchmarks are difficult to establish due to the unique nature of software integration.

Small Business Impact

The awardee, Sikorsky Aircraft Corporation, is a large business. There is no indication that small businesses were involved in this specific contract, either as prime contractors or subcontractors.

Oversight & Accountability

The sole-source nature of this award warrants scrutiny from oversight bodies to ensure fair pricing and justification for the lack of competition.

Related Government Programs

Other Aircraft Parts and Auxiliary Equipment Manufacturing
Department of Defense Contracting
Department of the Army Programs

Risk Flags

Sole-source award limits competition.
Potential for overpayment due to lack of price discovery.
Lack of transparency regarding justification for sole-source.
No small business participation noted.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $21.5 million to SIKORSKY AIRCRAFT CORPORATION. AN UCA IN SUPPORT OF THE IRNAV SOFTWARE TO BE INTEGRATED INTO THE BLACK HAWK HELICOPTER.

Who is the contractor on this award?

The obligated recipient is SIKORSKY AIRCRAFT CORPORATION.

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Army).

What is the total obligated amount?

The obligated amount is $21.5 million.

What is the period of performance?

Start: 2020-06-24. End: 2023-01-20.

What is the justification for awarding this contract on a sole-source basis?

The justification for a sole-source award typically involves unique capabilities, proprietary technology, or urgent needs where only one source can fulfill the requirement. Without further documentation, it's unclear if these criteria were met, raising concerns about potential missed opportunities for competitive pricing and innovation.

How does the pricing compare to similar software integration projects for military aircraft?

Benchmarking this contract's price is challenging due to its sole-source nature and specific application to the Black Hawk helicopter. A lack of competitive bids prevents direct comparison with other integration projects, making it difficult to assess if the $21.5M represents fair market value or an inflated cost.

What is the long-term impact of sole-source awards on the government's ability to acquire advanced aviation technology?

Sole-source awards, while sometimes necessary, can stifle innovation and competition in the long run. Over-reliance on non-competitive contracts may discourage new entrants and limit the government's access to a broader range of technological solutions and cost-effective options.

Industry Classification

NAICS: Manufacturing › Aerospace Product and Parts Manufacturing › Other Aircraft Parts and Auxiliary Equipment Manufacturing

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL SERVICES

Competition & Pricing

Extent Competed: NOT COMPETED

Solicitation Procedures: ONLY ONE SOURCE

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Lockheed Martin Corp

Address: 6900 MAIN ST, STRATFORD, CT, 06614

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Manufacturer of Goods, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $21,527,262

Exercised Options: $21,527,262

Current Obligation: $21,527,262

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: W58RGZ19D0079

IDV Type: IDC

Timeline